For which reason might an insurer be required to provide notice of the right to convert?

An insurer is typically required to provide notice of the right to convert when an insured becomes eligible for an individual policy. This situation often arises when a group health insurance plan is ending, and the insured has the option to convert their coverage to an individual policy to continue receiving benefits. The right to convert is an important consumer protection that ensures individuals do not lose coverage due to changes in their employment status or group policy circumstances.

The process ensures that individuals are made aware of their options so that they can avoid any gaps in coverage. This requirement is particularly relevant in group insurance scenarios, where individuals may need to transition to individual plans after leaving a job or losing group coverage. It affirms the insurer's responsibility to keep policyholders informed about their rights and available options related to their health insurance coverage.